International Diplomatic Tensions
US House Select Committee members threaten action against Japanese firms if doesn't restrict semiconductor equipment sales to , highlighting the geopolitical stakes in the semiconductor industry.
The US proposes unilateral measures, including expanding the Foreign Direct Product Rule, to curb China's semiconductor ambitions, emphasizing the need for multilateral cooperation.
Economic and Security Concerns
Lawmakers argue that continued exports to China threaten national security by enabling Beijing to build a significant semiconductor manufacturing base, potentially controlling a large portion of global foundry capacity.
Despite claims of negative impacts on companies like , US lawmakers cite rising share prices and subsidies as evidence of the export controls' effectiveness, challenging the narrative of financial harm.